Ernst & Young Introduces Tax Tool for Reporting Cryptocurrencies

Big Four auditing and professional services firm Ernst & Young EY) has launched a tool for accounting and preparing taxes on cryptocurrency holdings, according to a press release published on Mar. 4.
The new tool called EY Crypto-Asset Accounting and Tax (CAAT) is designed to improve accounting and tax calculations for digital currency transactions by both institutional customers that have cryptocurrency on their balance sheets and individuals who trade crypto assets on a smaller scale. The service will be available for those who use EY TaxChat and to EY Private Client Services clients.
The EY CAAT can reportedly get information about cryptocurrency transactions from “virtually all” major exchanges, consolidate data from various sources, and automatically produce reports, including cryptocurrency-related Internal Revenue Service (IRS) tax returns. EY says that it has registered a substantial growth in the number of customers that own crypto assets.